Posted by Stacy Ozol
on October 16, 2009
China,
Dollar,
Taking Stock,
Trade Deficit /
1 Comment
By Palash R. Ghosh
A DOW JONES NEWSWIRES COLUMN
The lowly U.S. dollar might be a blessing, not a curse.
Exports by U.S. companies are surging, largely due to the favorable currency exchange impact of the declining greenback. In the absence of robust domestic consumer spending, the export market might be the easiest way to jump-start the economy and glide the nation decisively out of this nearly two-year recession.
A weak dollar can provide U.S. corporations with a competitive advantage in the global marketplace, something they haven’t enjoyed in decades. Higher labor costs here are somewhat relieved by the effects of a weaker currency, said Michael Yoshikami, President of YCMNET Advisors.
“If you look at the recent trade numbers, there is a significant amount of purchases being made by foreign countries for U.S. goods and services. These increased sales overseas should boost the top- and bottom-lines in the third and fourth quarters, and perhaps into next year,” he said. Continue reading…
By Tomi Kilgore
A DOW JONES NEWSWIRES COLUMN
NEW YORK (Dow Jones)–Higher stock price or not, it still comes down to the fundamentals.
With the share prices of many well-known companies falling into single-digit territory, any success from Citigroup Inc.’s (C) reverse stock split may prompt others to do the same. But that’s certainly not a given.
Ashfield Capital Partners portfolio manager Kelli Hill said it’s unlikely the reverse split by itself will be a tailwind for Citigroup. She said it could become a potential catalyst if fundamentals eventually improve, as institutional investors that do have share-price restrictions would then be allowed to participate.
Citi shares were recently trading around $2.70.
Continue reading…
Tags: bank bailout, Dow Jones Newswires Column
Posted by Rick Stine
on February 26, 2009
Taking Stock /
1 Comment
In the Dow Jones Newswires column TAKING STOCK by Palash R. Ghosh, the possibility of more gold records this year are discussed.
In part:
Gold may shine brighter as equities tank.
The price of gold breached the $1,000 an ounce. barrier briefly last week, just a notch beneath its all-time peak of almost $1,035 in March 2008 – a stark testament to investors’ growing disdain for virtually all other investment assets and deepening skepticism over efforts by global governments and central banks to ease the recession.
Although the price has corrected a bit since Friday, it is quite conceivable that gold may soar to fresh new historic highs by the end of the year.
From a longer-term perspective, gold has actually undergone a multi-year rally since the tech/internet implosion in 2000.
Tags: Gold, Precious metals
